Alleged Tax Evasion: FIRS Files Amended Charge Against Binance, Gambaryan

The Federal Inland Revenue Service (FIRS) has filed an amended four-count charge against Binance Holdings Limited and its executive, Tigran Gambaryan, on alleged tax evasion.

FIRS lawyer Moses Ideho said this Friday before Justice Emeka Nwite of the Abuja Division of the Federal High Court.

Mr Ideho informed the court that following the escape of Nadeem Anjarwalla from lawful custody, the agency deemed it necessary to amend the charge to properly reflect Anjarwalla’s position in the instant charge, as being at large.

“We apply to substitute our charge dated 22nd of March, 2024 with an amended charge dated 17th of May, 2024. We apply that the charge be read to the 1st and 2nd defendants (Binance and Gambaryan) in order to take their plea,” he said.

But counsel for Binance, Chukwuka Ikwuazo, who also appeared for Gambaryan, opposed Mr Ideho’s application that the fresh charge be read to his clients.

Mr Ikwuazo argued that the charge was just being filed this morning, and he had yet to see it to consult with his clients and prepare for their defence.

The judge subsequently adjourned the matter until May 22 for arraignment.

Earlier, the judge, in a ruling, ordered the FIRS to serve the company (first defendant) through Mr Gambaryan (second defendant) the charge in the matter.

The judge held that Mr Gambaryan, being the Binance chief financial compliant officer, ought to be served with the charge as the company’s representative in Nigeria in accordance with the law.

He discountenanced Mr Ikwuazo’s argument that Mr Gambaryan was neither a director, secretary, nor chief agent of the crypto-currency firm.

The court had fixed their arraignment for April 4.

However, the arraignment could not proceed due to the inability of FIRS to effect service of the charge on the defendants.

The defendants are being charged with four counts bordering on alleged tax evasion, marked FHC/ABJ/CR/115/2024. In the charge dated and filed March 22 by the FIRS, the defendants were alleged to have committed the offence on or about February 1.

Count one alleged that while carrying and offering services to subscribers on their platform, Binance, they failed to register with the FIRS to pay all relevant taxes administered by the service.

The offences are said to be punishable under Sections 8 and 29 of the VAT Act of 1993 (as Amended), Section 40 of the FIRS Establishment Act, 2007 (as amended) and under provisions of Section 94 of the Companies Income Tax Act (as amended) respectively.

(NAN)